A portfolio is important for several reasons. First, it helps you diversify your investments, which means spreading your money across different assets to reduce risk. By investing in different assets, you are less likely to be affected by the ups and downs of a single investment. Second, a portfolio helps you achieve your financial goals by aligning your investments with your objectives. For example, if your goal is to save for retirement, your portfolio should be geared towards long-term growth. Finally, a portfolio allows you to monitor your investments and make adjustments as needed.
Creating and monitoring a portfolio